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Govt Won’t Renew Expired Oil Block Licences –NNPC Boss

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  • Govt Won’t Renew Expired Oil Block Licences –NNPC Boss

There is no immediate plan by the Federal Government to renew the expired oil block licences, particularly those belonging to international oil companies operating in the country, the Group Managing Director of the Nigerian National Petroleum Corporation, Mr Mele Kyari, has said.

It was gathered that the IOCs operating some oil blocks with expired licences in various locations in the Niger Delta had been making enquiries on when the government would renew the licences.

Commenting on the development in Abuja while playing host to a delegation from Eni/Agip, Kyari told his guests that there was no immediate plan to renew the licences.

The corporation stated, “The GMD explained that there was no immediate plan to renew the licences as the Federal Government was interested in having the exploration and production arm of the NNPC, the Nigerian Petroleum Development Company operate them.”

The delegation from Eni/Agip was led to the corporation by the Executive Vice Chairman, Sub-Saharan African Region and Chairman, Eni Exploration and Production in Nigeria, Brusco Guido.

The NNPC, however, promised to work closely with Eni/Agip to speedily resolve all pending issues that led to the suspension of cash-call repayment.

Kyari, according to a statement issued by the Group General Manager, Group Public Affairs Division, NNPC, Ndu Ughamdu, explained that the failure to pay cash call arrears in the last three months was deliberate and meant to ensure that the issues surrounding the agreement were settled.

The GMD was quoted as saying, “The money is there; it is ready. We will pay as soon as the issues are resolved by the end of the week.”

On the Okpai Independent Power Project, Kyari explained that the issues that led to the delay in payment had been resolved and that payment would be effected as soon as possible.

“We will work with you. You can count on us,” he assured the Agip team, urging them to fast-track the phase one of the rehabilitation of the Port Harcourt Refinery to ensure that it was delivered before the scheduled date of October 2019.

On his part, Guido said the company was fully aligned with the GMD’s three-point agenda of growing reserves, growing production and cutting costs.

He, however, listed a number of challenges that had hampered the IOCs’ operation and urged the NNPC management to help resolve them in order to meet its target of growing production from the JV assets by 30 per cent over last year’s rate.

In another development, the corporation has pledged to promptly send proceeds from its operations to the Federation Account as well as steady supply of petroleum products to Nigerians.

This was disclosed by the NNPC’s Chief Financial Officer, Umar Ajiya, at a strategy session with the heads of account departments of the corporation’s subsidiaries.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial market.

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Nike, Adidas, and Puma Lost €7.3bn in Revenue Amid COVID-19 Outbreak

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Over the last few decades, the global sportswear market has turned into an enormous revenue-generating machine, with the profits reaching almost €153bn value in 2019. However, the first half of 2020 has brought a huge hit for the world’s largest sports brands, with thousands of their shops closed amid coronavirus lockdown.

According to data presented by SafeBettingSites.com, Nike, Adidas, and Puma, as the world’s largest suppliers of athletic apparel, lost €7.3bn in revenue amid the COVID-19 crisis.

Nike’s Revenue Plunged by €3.87bn

As one of the largest and most recognizable brands on the planet, Nike represents the leader in the industry of sports equipment and athletic apparel. The US-based company, traded as NKE on the New York Stock Exchange, has acquired several footwear and apparel companies over its history, including Converse, Cole Haan, Starter, Bauer Hockey, Umbro, and Hurley International. Today, it sponsors many high-profile professional athletes like Cristiano Ronaldo, Rafael Nadal, Lebron James, and Rory Mcllroy, and manufactures uniforms for a wide range of sports teams including Barcelona, Chelsea and Paris Saint-Germain.

In the third quarter of the fiscal year ending on May 31st, 2020, Nike generated €10.10bn in revenue, a €493 million increase compared to the Q3 2019 figures. However, the company’s Q4 2020 financial report revealed the staggering effects of the coronavirus crisis, with the revenues falling to €6.31bn, a €3.87bn plunge year-on-year.

Due to the excellent financial results in the first three quarters, Nike ended the fiscal year with €37.4bn in revenue, a €1.7bn drop in a year. Statista data also revealed that 41% of that amount was generated in the North American market. EMEA and Greater China follow with 26% and 19%, respectively. In 2020, footwear accounted for 66% of Nike’s total revenues. Apparel follows with a 31% revenue share.

Adidas and Puma Combined Revenues Tumbled by €3.47bn

Europe’s largest sportswear manufacturer and the second-largest globally, Adidas, generated €4.75bn in revenue in the first quarter of 2020, a €1.13bn plunge year-on-year. The company’s Q1 2020 financial results also revealed that earnings per share from continuing operations dipped 96% year-on-year, standing at €0.13. Although Adidas e-commerce sales jumped 35% in the first quarter, it wasn’t enough to balance widespread closures of brick-and-mortar stores.

The downsizing trend continued in the second quarter of the year, with the revenue falling to €3.58bn, a €1.93bn drop in a year. From April to June, almost all Adidas stores except those in the Asia-Pacific region were closed. In Latin America and emerging markets, sales decreased by more than 60%, while European and North America witnessed a 40% drop. Statistics show that the company’s revenue plummeted by €3.06bn in the first half of the year.

As the third-largest sportswear manufacturer in the world, Puma lost more than €415 million in revenue amid coronavirus outbreak. Statistics show the company generated €2.13bn in revenue in the first half of 2020, a 16.3% drop year-on-year.

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Volkswagen Opens Vehicle Assembly in Accra Ghana

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Volkswagen Launches Vehicle Assembly in Accra Ghana

The German automobile company, Volkswagen, has officially launched its vehicle assembly facility in Accra Ghana, one of the sub-Saharan African countries.

The facility is the fifth Volkswagen assembly in Sub-Saharan African nations following an official launching of Nigeria, South Africa, Kenya and Rwanda assemblies.

It would be recalled that in 2005 Volkswagen awarded the initial phase of the project to Universal Motor Facility, a Volkswagen importer.

The facility is the fulfillment of the Memorandum of Understanding (MoU) Volkswagen signed with Ghana in the presence of the German Chancellor Angela Merkel about two years ago.

According to the details of the facility, the facility has the capacity to assemble about 5,000 units per annum. Tiguan, Teramont, Passat, Polo and Amarok are five models expected to be assembled in the facility as they assembly planned to focus on vehicles that use Semi Knocked Down (SKD).

The announcement of Volkswagen’s investment and the unveiling of the first vehicle assembled in Ghana was witnessed by Ghana President, Nana Addo Dankwa Akufo-Addo with Minister of Trade and Industry, Alan Kyerematen, and other cabinet ministers.

“I assure Volkswagen and its local assembler in Ghana of the full support of the government in creating an enabling environment and incentive framework to make their investment a major success,” Alan Kyerematen stated.

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High Pesticide is Reason Nigerian Beans Not Acceptable in Most Countries

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High Pesticide is the Reason Nigerian Beans Not Acceptable in Most Countries

High pesticide residue is the reason exporters of Nigerian cowpea (beans) can no longer access certain foreign markets, according to the Nigeria Agricultural Quarantine Service (NAQS).

Vincent Isegbe, the Director-General, NAQS, disclosed this on Monday in Abuja during a strategic engagement with the President of Cowpea Association of Nigeria, Shittu Mohammed.

Isegbe advised stakeholders to work together to address the weak cowpea value chain in order to establish a continuous market for Nigerian beans.

In a statement issued by Gozie Nwodo, the Head, Media, Communications and Strategies, NAQS, Isegbe said “The pattern of boom and bust in cowpea export owes to the ingrained issue of high pesticide residue.

“The pesticides are largely introduced during the storage phase. The residue levels in the cowpea tend to rise above the maximum threshold set by certain Customs union and this makes the product unacceptable in crucial destinations.

Isegbe added, “We need to make a clean break from imprudent application of storage pesticides and consolidate a reputation for producing and delivering cowpea that satisfy relevant quality criteria.”

He said Nigeria is losing thousands of jobs and foreign exchange due to the suspension of cowpea or other agricultural commodities on account of intolerable quality defects.

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